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A Mutual Fund Had NAV Per Share of $19

question 24

Multiple Choice

A mutual fund had NAV per share of $19.00 on January 1, 2016. On December 31 of the same year, the fund's NAV was $19.14. Income distributions were $0.57, and the fund had capital gain distributions of $1.12. Without considering taxes and transactions costs, what rate of return did an investor receive on the fund last year?


Definitions:

New Concept

An idea or thought that is original and not previously perceived.

Equilibration

A cognitive process proposed by Piaget, describing the balance between assimilation and accommodation to maintain or restore cognitive stability.

Mentally Charting

The cognitive process of mapping out or organizing thoughts, plans, or data in a structured manner.

Fast-Mapping

The process by which children are able to learn the meaning of a new word quickly and efficiently, often after a single exposure.

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